Portugal’s economy continues to thrive, with consistent growth recorded month after month in 2024. This momentum highlights the nation’s stability and attractiveness for those considering a move or property investment. As Portugal remains a sought-after destination for its quality of life, robust economic performance further strengthens its appeal to international and local buyers alike.
Steady Growth Backed by Private Consumption
Recent data from the National Institute of Statistics (INE) confirms a 1.9% increase in Portugal’s GDP during the third quarter of 2024 compared to the same period in 2023. This acceleration from the previous quarter’s 1.6% underscores the role of private consumption as a driving force in the country’s economic performance.
Internal demand significantly contributed to this growth, with a rise from 2.5 percentage points (p.p.) in Q2 to 2.6 p.p. in Q3. While private consumption showed noticeable gains, there was a slight decrease in investment, reflecting shifts in spending priorities during the summer months.
External Trade Challenges Persist
Despite Portugal’s economic advancements, external trade remains a challenge. Net external demand provided a negative contribution to GDP growth (-0.8 p.p.), though it showed improvement from the previous quarter’s -0.9 p.p. This was influenced by an increase in both imports and exports of goods and services, showcasing Portugal’s strong ties to the global market.
For prospective investors and expatriates, this balance highlights opportunities within Portugal’s interconnected economy, particularly in sectors tied to real estate and tourism, which continue to benefit from steady external demand.
Quarterly Progress Points to Resilience
Quarter-over-quarter, Portugal’s GDP rose by 0.2% in volume, matching the growth seen in the previous quarter. The internal demand contribution increased to 1.2 p.p., driven by a notable acceleration in private consumption and renewed investment activities. This resilience showcases the robustness of Portugal’s economy, even in the face of global uncertainties, making it an attractive option for those seeking stability.
Why Now Is the Time to Invest in Portuguese Real Estate
Portugal’s economic stability, coupled with its consistent growth, presents a unique opportunity for property buyers. Cities like Lisbon, Porto, and Faro are seeing sustained demand for residential and investment properties. The Algarve, with its pristine beaches and vibrant expat community, remains a hotspot for retirees, families, and investors.
Portugal’s real estate market benefits from the country’s favorable tax policies and a growing economy supported by private consumption. With rising demand for properties ranging from modern apartments to traditional homes in quieter regions, the time to secure a property in Portugal has never been better.
How Immo Lusitania Can Help
At Immo Lusitania, we specialize in helping international and local buyers find their ideal property in Portugal. Whether you’re looking for a family home, a vacation property, or an investment opportunity, our expertise ensures you make informed decisions aligned with the country’s dynamic market.
Why choose us?
- Market Knowledge: We provide insights into the latest property trends in Portugal.
- Comprehensive Support: From property search to legal assistance, we guide you every step of the way.
- Personalized Service: Tailored recommendations to meet your unique requirements.
